Tariffs & HTS
U.S. imposes 25% Section 301 tariff on all imports from Brazil
USTR imposed a 25% Section 301 tariff on all imports of Brazil, with exemptions, after finding certain Brazilian practices on digital trade and electronic payments, preferential tariffs, anti-corruption enforcement, IP protection, ethanol market access and illegal deforestation actionable. The duty, under new HTSUS heading 9903.05.01, applies to goods entered on or after 12:01 a.m. ET on July 22, 2026.
What changed
The action follows USTR's June 1, 2026 determination and proposal and the President's July 15, 2026 memorandum. Goods loaded and in transit before July 22 and entered before 12:01 a.m. on July 29, 2026 are not covered.
Exemptions include listed products (some only as civil aircraft articles or for pharmaceutical use), Section 232 articles (steel, aluminum, copper, vehicles and parts, wood products, semiconductor articles), donations, informational materials and personal-use accompanied baggage; patented pharmaceutical articles were added from July 31, 2026.
USTR dropped the proposed exemption for high-purity dissolving pulp and added items such as aluminum hydroxide, pig iron, iron and steel scrap, unflavored instant coffee and used clothing. Unless exempted, the 25% stacks on other Chapter 99 duties, and AD/CVD still apply.
What an import team should check
- Check each Brazilian-origin HTS line against the exemptions in U.S. note 50 and Annex II before filing, including any pharmaceutical-use or civil aircraft limitation.
- Separate cargo loaded before July 22, 2026 and entered before July 29, 2026, and keep the loading and transit documents that support the in-transit exception.
- Review Brazilian products that were proposed for exemption but not exempted, such as high-purity dissolving pulp, and update landed-cost estimates with your broker.